Food prices in Norway increased by 13.7 per cent year-on-year in June, contributing significantly to the overall high inflation rate, the country’s statistical institute said.
Statistics Norway (SSB) said that the consumer price index (CPI) rose by 6.4 per cent in June compared to the same period last year, reports Xinhua news agency.
“It is unusual for food prices to increase so much in the month of June. This means that the twelve-month growth in food prices increased in June from an already high level in May,” Espen Kristiansen, section manager at the SSB, said in a press release.
The key drivers behind this surge were the higher prices of fruits and vegetables.
Kristiansen said that some of the rise in June was due to the weakened Norwegian krone.
“The prices of imported agricultural goods rose clearly more than those of Norwegian agricultural goods,” he said.
Last month, Norges Bank, the country’s central bank, increased the policy rate by 0.5 percentage points to 3.75 per cent following markedly high inflation in the country.
In August 2021, the interest rate was 0 per cent in Norway.
Since then, it has been raised several times.
The central bank also suggested further rate hikes.
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